Borders Opens eBook Store with Goal to Secure 17 Percent eBook Market Share
(Press Release) ANN ARBOR, Mich., July 7, 2010, PRNewswire via COMTEX—Borders Group, Inc. (NYSE: BGP) today announced the launch of the Borders branded eBook store, powered by global eReading service Kobo(TM). Borders' goal is to secure a 17 percent share of the eBook market by July 2011.
Borders' eBook store launches with more than 1.5 million titles, including thousands of free titles, available in a variety of formats, including ePub, mobile and PDF. The store launch follows the successful introduction of the Borders iPhone and iPad apps, powered by Kobo, as well as the introduction of the Kobo eReader and Aluratek Libre eReader on Borders.com. Both devices, which are value-priced at under $150, have surpassed sales expectations.
To provide additional value around its digital offerings, the retailer will offer its Borders Rewards(R) loyalty program members with benefits ranging from special gift cards and free shipping on certain items, to exclusive offers on popular digital series, double Borders Bucks(TM) incentives on the purchase of eReaders, as well as other valuable offers. More than 38 million members have signed up for the Rewards program since it launched in 2006.
"The race to emerge as a retail leader within the digital category is just starting," said Mike Edwards, Chief Executive Officer for Borders, Inc. "During the past several months, we've been carefully crafting a digital strategy, one that has great content and a device-neutral philosophy backed by the Borders brand as its cornerstones. We believe we are very well positioned to come out strong and to ultimately claim about a 17 percent eBook market share by this time next year."
Borders' Consumer Research
According to Borders' consumer research, convenience, choice, content and quality hardware rank at the top of the attributes readers look for in an ideal digital bookstore experience. The launch of the company's eBook store will be complemented by its strong in-store digital presence through its upcoming Area-e sections, where customers will be able to try out a number of eReading devices before making a purchase. Area-e sections, which will be in virtually all Borders stores by early September, will be staffed by knowledgeable associates, who will demo products and answer customers' questions.